Egg prices rise as rain, diesel shortage hit supply

Highlights

• Continuous rain over past 8-10 days
• Diesel shortage disrupts farm operations
• Many farms shut or reduced capacity
• Egg prices up Tk20-25 per dozen in two weeks
• Production may drop 12-17% in prolonged rain

Egg prices have risen by Tk20-25 per dozen over the past two weeks amid lower production caused by prolonged rain and a diesel shortage, with retailers in Dhaka now selling eggs at Tk150 per dozen.

Farmers say production has fallen due to a diesel shortage and prolonged heavy rainfall, putting pressure on supply and pushing up prices.

Visits to retail markets in the capital found farm eggs selling at around Tk12 per piece. White eggs were selling at Tk140 per dozen. Two weeks ago, red farm eggs were sold at Tk125-130 per dozen, while white eggs were Tk120-125.

At the wholesale level, red eggs were sold at Tk10.80 per piece and white eggs at Tk10 at Tejgaon egg market on Tuesday. At the farm level, red eggs were selling at Tk10.40 per piece.

Infographics: TBS

Al Amin, an egg retailer in Shahjadpur, said wholesale prices have gone up. "That is why we have to sell at higher prices," he said.

Farmers said egg productivity falls during prolonged rain and cloudy weather. They said continuous rainfall over the past 8-10 days reduced the light needed at farms. Farms are also struggling to run generators due to inadequate diesel supply.

They said eggs had long been sold at Tk7-8 per piece at the wholesale level, although production costs are around Tk10 to Tk10.5. As farmers did not get fair prices for a long time, many have shut farms or reduced capacity.

Khandaker Mohammad Mohsin, secretary general of the Bangladesh Poultry Industries Association (BPIA) and owner of United Agro Complex, told TBS that his farm has a capacity of 120,000 layer chickens but currently has only 15,000-17,000 birds across three farms.

"Due to the diesel shortage, we cannot run generators. We get only 10 litres of diesel for three days," he said.

He said many farms have closed due to prolonged low egg prices. "Farmers have sold eggs at a loss for the past 7-8 months. Prices do not usually remain low for so long. Farmers sold eggs far below production cost. As a result, many have shut farms or reduced capacity," he said.

Mohsin said production has dropped due to the recent rains. "If cloudy weather and rainfall continue, egg production can fall by 12-17%. Without enough light, there is no stimulation. As a result, egg production falls," he said, adding that there is now a shortage of eggs.

The sudden rise in egg prices has put low-income people under pressure. Zahidul Islam, a security guard at a house in Gulshan, told TBS, "Prices of rice, oil, sugar, vegetables, fish and meat are all high. Eggs were still within reach, but now prices have also increased by Tk20 per dozen."

Prof Dr Bapon Dey of the Department of Poultry Science at Bangladesh Agricultural University (BAU) told TBS that prolonged rainfall reduces egg productivity.

He said most commercial layer breeds used in Bangladesh are adapted to controlled conditions and are sensitive to prolonged rain. Excess rainfall can increase moisture in feed and cause fungal growth, he said.

"Layer chickens need 16 hours of light. Alongside daylight, they need additional artificial light. But during cloudy weather, they do not get enough light. This affects their hormones and reduces egg productivity," he said.

He added that rainfall started earlier than usual this year, and many farmers may face problems as they were unprepared.